Chandler School District approves $394M budget amid funding changes and enrollment declines

In a pivotal meeting held on July 9, 2025, the Chandler Unified School District (CUSD) Governing Board convened to discuss the district's budget for the upcoming fiscal year. The atmosphere was charged with anticipation as board members prepared to adopt a proposed budget that reflects both the challenges and opportunities facing the district.

The meeting began with an overview of the legislative process that shapes school funding in Arizona. The district's budget is contingent upon bills approved by the state legislature, which ultimately require the governor's approval. This year, the state has mandated a 2% increase in maintenance and operation funding per student, a crucial development given the rising costs of education.

Key highlights from the budget discussion included a significant increase in funding for free and reduced lunch programs, which will be reinstated after being paused in previous years. This funding is vital for supporting the district's low-income students, who make up approximately 30% of the student population. The board also noted the approval of $200 million in building renewal grants, aimed at addressing infrastructure needs across the state.

However, the budget is not without its challenges. The district is experiencing a decline in student enrollment, attributed to factors such as rising housing costs and competition from charter schools. This decline has resulted in a projected decrease of approximately $7 million in maintenance and operations funding. The board emphasized the importance of adapting to these demographic shifts while maintaining quality education.

In addition to budgetary concerns, the board discussed the implications of Proposition 123, which has shifted funding sources for education. The transition from state land trust funds to the general fund has raised questions about long-term sustainability. The board expressed cautious optimism, noting that while the current budget reflects a decrease in some areas, upcoming revisions in September will incorporate newly approved funding.

As the meeting progressed, the board reviewed the aggregated expenditure budget, which outlines the district's financial commitments across various programs. The discussion highlighted the need for transparency and accountability in how funds are allocated, particularly in light of the district's size and the diverse needs of its student population.

In conclusion, the Chandler USD Governing Board's meeting underscored the complexities of school funding in Arizona. With a budget that balances increased funding for essential programs against the backdrop of declining enrollment, the board is tasked with navigating a challenging landscape. As they prepare for the upcoming fiscal year, the board remains committed to ensuring that every student receives the support they need to succeed. The next steps will involve revisiting the budget in September, where further adjustments will be made based on the latest legislative developments.